Consolidation in the industry has been on the lips of executives, industry analysts and more for some time. But, as the sector produces challenges and uncertainty, groups, airlines, and more are open to all possible opportunities to improve their position in whatever capacity.
IAG, International Airlines Group, home to British Airways, Aer Lingus and Iberia, could explore potential options to takeover TAP Air Portugal.
IAG recently entered the headlines as they announced their takeover plans of Air Europa. The new launch attempt comes several years after their initial attempts were cancelled. If approved, this deal would see IAG collect 80% of the business for a value around the region of USD 423 million. It would also be the latest airline to join a group with a strong presence in the European region, from short-haul to long-haul airlines.
However, the group didn’t deny plans that they’d look to strengthen their business in the future further. TAP Air Portugal is another potential option for further consolidation in the European market.
Per Cirium data TAP Air Portugal has 75 aircraft in service, spread across an all-Airbus operation. Multiple members of the A320 family are present, including the A319, A320 and A321. Meanwhile, the airline also flies the A330 family, including the newest A330-900, part of the neo program.
It won’t just be IAG interested in TAP Air Portugal. It comes as other influential airline groups and industry members assess their options. The European sector is also not the only market where consolidation occurs too. Asia/Oceania sees it alongside plans in the United States.